Evidentiary Proof Defeats Pleaded Amount in Controversy: Business Court Applies C Ten 31 Burden-Shifting Framework to Remand Derivative Action

In Runner Runner LLC v. BLPP Holdings, LLC, the Texas Business Court remanded a derivative action after finding that the removing party failed to meet his burden under the C Ten 31 three-step framework to establish that the amount in controversy exceeded the $5 million jurisdictional threshold. The Court held that when a non-removing party challenges jurisdiction and presents evidence that a lesser amount is readily established, the removing party must present controverting proof or face remand.